Pep Guardiola has agreed a new one-year contract extension with Manchester City, Sky Sports News understands.
Sky Sports News also understands that Guardiola's new contract includes the option of a further year until 2027.
Manchester City declined to comment when contacted by Sky Sports News.
The Athletic reports that an announcement is expected in the coming days.
The 53-year-old Manchester City's current contract expires at the end of this season.
The new deal would see the Spaniard remain in charge of the club for more than a decade after joining City in the summer of 2016.
Guardiola has won 18 trophies, including six Premier League titles and the Champions League with City.
Speculation over Guardiola's future, which had been rife for several months, had increased significantly after the club recently confirmed that director of football Txiki Begiristain would leave at the end of the season. Begiristain, an old colleague of Guardiola, will be replaced by Sporting Lisbon's Hugo Viana, a former Newcastle player.
Ending uncertainty over Guardiola's position could prevent further disruption next summer, at a time when the club is also due to participate in the Club World Cup.
The news, which could reportedly be confirmed later this week, would also come at a crucial time in City's season. Hampered by injuries, the champions' form has faltered of late, with the team losing their last four games in all competitions, the worst run of Guardiola's career.
It has been a difficult campaign off the pitch too, with the club facing 115 charges for allegedly breaching Premier League rules following an investigation into their financial affairs.
Guardiola succeeded Manuel Pellegrini at City eight years ago, after previous successful spells in charge of Barcelona and Bayern Munich.
'Pep felt it was not the right time to leave Man City'
Sky Sports News reporter Ben Ransom:
“I think the timing of the news came as a surprise. As this season progressed, we got the feeling that Pep was more inclined to stay.
“One more year, I think. In the summer I can't say if that was the case. It feels like he thought long and hard about this decision, doesn't it? That quote after he lifted that fourth consecutive Premier League title in which he said he was closer to leaving than staying.
“This is his ninth season, so he's not going to do another nine, of course not. But when he says that, to be in that reflective mood, to probably see this team and the way it's evolved and where they standing now, he had a lot to think about.
“His family still lives in Catalonia and Barcelona. That would have been a big draw, bringing him back to Spain. But then there is the job and the club that he absolutely loves.”
“And Pep has a loyalty to Manchester City, we have seen that. He clearly loves his job. He loves the challenge of trying to win the Premier League.”
And I think that's what put him over the edge into wanting to stay. Especially his good friendship with Txiki Begiristain. We know he'll leave at the end of the season.
“We know that Hugo Viana is coming into this kind of sporting director/director of football. That's a new relationship. It's a new era. It's a new challenge. And I think Pep must have felt that by now leave, that wasn't.” I'm not doing the right thing at the club. They need him.
“They need someone they can rely on. And if you look at his record, of course they can rely on Pep.”
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